Insurance Selling Forecast

People often buy home insurance or car insurance off the internet. When they started doing so, it was predicted that insurance agents would be put out of business. With the appearance of ads and websites for life and health insurance quotes, many thought doomsday was fast approaching. Insurance companies that thought they could bypass agents, were burned when producers got angry and stopped selling their products. If anything the internet had enhanced insurance sales, by making a higher public awareness of the need for it.
Clients buying the lowest quoted policy, especially with auto insurance, started getting burned. They learned that you get what you pay for. No service or poor service added to wide loopholes at claims time switched them back to using insurance agents. Any good agent worth staying in the business should easily be able to replace cookie cutter coverage where an agent was never involved. In fact, there are quite a number of insurance sales representatives making a high percentage of their income by concentrating of these policyholder.
The Income of Agents
You would think that with more and more life insurance selling agents entering the financial planning arena, income of insurance sales representatives would start increasing at a rapid pace. Unfortunately that is not true. To develop the immense study information required takes years. In addition, you would want to obtain a couple credibility designations behind your work, They are typically obtaining by continuing education. The average life insurance selling rep has an income similar to a typical workplace worker. Only 10% or the reps eventually earn a high middle class or higher income. With the income predicted to increase about 15 % in the next few years, probably lower that the rate of inflation.
The Quantity of Agents
The Bureau of Labor Statistics proposes the work force of insurance sales representatives will increase 13% during the next few years. Since that will remain very close to the predicted population increase, the ratio of agents to population will barely change. Too bad the insurance sales work force does not decrease 30% in the near future. While there is an over abundance of agents, there is no shortage of prospects. The mid to high middle class is being over targeted. Agents must emerge forward by concentrating on writing large quantities of insurance to families currently being ignored.
What the Insurance Selling Forecast Does not Show
The agents that start to target the large quantity of prospects over the age of 60 exclusively will do very well. Seniors of today and tomorrow do not have the luxury or senior age pensions and comprehensive health care coverage compliments of unions. The retirement age population is finding many circumstances require reentering the work force. Upcoming health advances will keep them in better physical and mental condition. Planning must start now, and it must revised every few years. Agents selling to seniors are no longer just sales people but well versed consultants and planners.
Insurance Agents will not get replaced by computers.
A LOT of senior managers will get replaced. Data generated by computer programs will show how ineffective old selling techniques are. Career agents will become independent quicker, wanting a bigger share of the market commissions, and new concept policies to over their prospects